Dissident Director
Categories: Board of Directors, Regulations
Everyone else wanted Diet. But this guy...well, he just insisted on regular. He’s the dissident. Goin’ against the State. The tide. The vote.
A dissident director is a member of the board who either votes against a set of new mandates that evvvveryone else went thumbs up on...and/or who initiates her own vote, which is pretty much the opposite of what everyone else wants.
Like…maybe they’ve voted to replace all the toilets in the corporate washrooms with bidets. In real life, a dissident director can dissent against popular board vote in things like...the company accepting a takeover bid at $58 a share in stock.
That dissident director might demand that it be paid in cash, because she doesn’t trust the stock market’s appraisal of the valuation of the stock currency being used to take over their company.
Another dissent might revolve around a company seeking to overpay for an acquisition. That dissident director might be the lone rational voice suggesting that they not pay 100x revenue to take out a competitor.
And the dissident director may also come from an operational perspective, in that they want to fire the CEO for poor performance...whereas the rest of the board loves being on the CEO’s good side for the selfies. And all the good Instagram ingredients.
Sometimes, all it takes is one brave soul to go against the crowd. Although, when it comes to the Diet Coke thing, uh…you may need to pick your battles.
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Finance: What is a Dissident Director?4 Views
Finance allah shmoop What is a dissident director Well everyone
else wanted diet but thiss guy well he just insisted
on regular he's the dissident going against the state against
the tide against the vote while a dissident director is
a member of the board who either votes against the
set of new mandates that everyone else went thumbs up
on and or who initiates her own vote which is
pretty much the opposite of what everyone else wants You
know we know people like that like maybe they voted
to replace all the toilets in the corporate washrooms with
today's It's happened Really In real life a dissident director
can dissent against popular board vote in things like the
company accepting a takeover bid at fifty eight bucks a
share in stock Well that dissident director might demand that
the takeover dobie paid in cash because well she doesn't
trust the stock market's appraisal of the valuation of the
stock currency being used to take over their company Well
another descent might revolve around a company seeking toe over
pay for an acquisition Like that dissident director might be
the lone rational voice suggesting that they not pay Ah
Hundred times revenue to take out a competitor And the
dissident director may also come from an operational perspective In
that they want to fire the ceo for poor performance
whereas the rest of the board loves being on the
ceo's good side for the selfies and you know all
the good instagram ingredients Well sometimes all it takes is
one brave soul to go against the crowd although when
it comes to the diet coke thing it might just 00:01:45.209 --> [endTime] be better toe Pick your battles